SANFORD – As compared to other municipalities of its size, Sanford ‘s unassigned fund balance, the amount of uncommitted cash on hand, is in the middle between communities like Augusta, Auburn, Scarborough and Westbrook.

That is the word from Christian A. Smith of the firm Wipfli/Macpage, who reviewed the 2017-2018 audit for the Sanford City Council on Tuesday.

The unassigned fund balance is just above 8 percent of the annual budget, he said. 

The audit report shows the ending fund balance for the general fund was $0.8 million, a decrease of slightly more than $1 million from the prior fiscal year. The city, excluding the schools, has an unrestricted fund balance of $8 million, of which nearly $900,000 is committed to ongoing capital projects, and $546,000 is assigned for the subsequent year’s budget and other purposes. That leaves an unassigned balance of nearly $6.6 million, described by auditors as an adequate surplus.

“You’re in a good spot,” said Smith.

He said bond rating agencies generally like a community to have at least 30 days of cash on hand that is not committed for other purposes.

Sanford’s debt for the 2017-2018 fiscal year was low as compared to other communities, Smith said, at 6 percent of the budget.

Smith said that will change in the next audit as the city begins paying back the $10 million voters approved as the city’s contribution to the new Sanford High School and Regional Technical Center construction project. The state’s school construction program funded 90 percent of the estimated $100 million project.

A principal payment of $5 million of the city’s contribution is scheduled to be paid in the next fiscal year.

Smith told the councilors there were no material weaknesses or significant deficiencies in Sanford’s books.

There was little discussion by councilors about the presentation, which included a look at a number of aspects of the city’s finances. The council voted unanimously to accept the audit.

Sanford City Manager Steve Buck praised the work of Sanford Finance Director Ronni Champlin, Treasurer Paula Simpson and School Business Administrator Gwen Bedell Gadbois.

“Everything reconciles, month to month,” Buck said.“They work extremely well together as a team.”

— Senior Staff Writer Tammy Wells can be contacted at 780-9016 or twells@journaltribune.com.